Corpus Christi Development Corp. v. Carlton, 1970

Decision Date07 October 1982
Docket NumberNo. 1970,1970
Citation644 S.W.2d 521
PartiesCORPUS CHRISTI DEVELOPMENT CORP. and Jorge Schultze, Appellants, v. Richard J. CARLTON, Appellee. CV.
CourtTexas Court of Appeals

Allan Potter, Potter & Potter, Corpus Christi, for appellants.

Howard F. Sudduth, Corpus Christi, for appellee.

Before NYE, C.J., and YOUNG and GONZALEZ, JJ.

OPINION

YOUNG, Justice.

This is an appeal from a judgment awarding damages in suit for breach of a contract to sell real property. Petitioners appeal on five points of error by way of application for writ of error.

Richard Carlton, desiring to buy a condominium in the Las Brisas Condominium complex, contacted a realtor. The realtor located Jorge Schultze, whom the realtor thought was an owner of one of the units in Las Brisas who wanted to sell. Carlton signed a real estate contract form containing the terms under which he was willing to buy the unit. At the time the form was signed by Carlton, the seller on the form was shown to be "Dr. Jorge Schultze." The form signed by Carlton was presented to Schultze who changed the seller from "Dr. Jorge Schultze" to "Corpus Christi Development Corporation" and changed the amount of the down payment from $10,000 to $15,000. Schultze initialed these changes and, in the presence of the realtor, signed the form as "president" of the Corpus Christi Development Corporation. The form was returned to Carlton who approved the changes. The contract was then delivered to an escrow agent. The contract provided that the deal was to be closed on or before thirty days from August 2, 1979. Before expiration of this deadline period, Carlton received word that the seller would not convey the property. Schultze informed the realtor that he and Corpus Christi Development Corporation were not going to honor the contract and denied ever signing the contract.

Schultze also told plaintiff's attorney in response to a demand letter that neither he nor the Corpus Christi Development Corporation was going to consummate the transaction and that the lawyer could sue them.

The case was tried to the court without a jury. Although an answer was filed in behalf of Schultze and Corpus Christi Development Corporation, neither Schultze nor a representative of Corpus Christi Development Corporation appeared at the trial. Judgment was rendered in favor of Carlton, giving him $80,446.00 in damages and $10,000 in attorney fees.

In cases where the vendor has the ability to perform, but is unwilling to do so, the measure of damages for breach of contract to sell real estate is the difference between the contract price and the market value of the property at the time of the breach. Broady v. Mitchell, 572 S.W.2d 36, 42 (Tex.Civ.App.--Houston, [1st Dist.] 1978, writ ref'd n.r.e.). Appellants contend that there is no evidence in the record from which the trial court could have determined the market value of the property at the time of the breach. With this we agree. The realtor testified concerning the market value of the property at the time of the trial, but not at the time of the breach of the contract (approximately seventeen months earlier). Points one and two are sustained.

In point of error three appellant Schultze contends there is no evidence to support the judgment that he is individually liable for the breach of the contract. A corporation by its nature must act through agents. Norton Refrigerated Express v. Ritter Bros. Co., 552 S.W.2d...

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25 cases
  • Stewart Title Guar. Co. v. Sterling
    • United States
    • Texas Supreme Court
    • December 11, 1991
    ...carries the burden of proof. See, e.g., Kimbrough v. Fox, 631 S.W.2d 606, 609 (Tex.App.--Fort Worth 1982, no writ); Corpus Christi Dev. Corp. v. Carlton, 644 S.W.2d 521, 523 (Tex.App.--Corpus Christi 1982, no writ); Bavarian Autohaus, Inc. v. Holland, 570 S.W.2d 110, 116 (Tex.Civ.App.--Hous......
  • Haines v. National Union Fire Ins. Co., Civ. A. No. H-92-2892.
    • United States
    • U.S. District Court — Southern District of Texas
    • February 1, 1993
    ...liable on contracts made on behalf of his principal, if the agent was acting within the scope of his authority. Corpus Christi Dev. Corp. v. Carlton, 644 S.W.2d 521, 523 (Tex.App. — Corpus Christi 1982, no writ). When an agent exceeds his authority under the agency agreement, he becomes per......
  • Barry v. Jackson
    • United States
    • Texas Court of Appeals
    • March 19, 2010
    ...breach was sufficient evidence of the property's market value. 1998 WL 255142, at *4, 1998 Tex.App. LEXIS 3020, at *9. In Corpus Christi Development Corp. v. Carlton, on the other hand, the court held that testimony about the property's value at the time of trial, seventeen months after the......
  • Wal-Mart Stores Inc. v. Lane
    • United States
    • Texas Court of Appeals
    • June 29, 2000
    ...could make Wal-Mart liable for defamation. A corporation can only act through its officers or its agents. Corpus Christi Development Corp. v. Carlton, 644 S.W.2d 521 (Tex. App.--Corpus Christi 1982, no writ). The rule is that a corporation may be held liable for defamation by its agent if s......
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